owner ocupied loan

[Beaner]

I have a deal that the mortgage broker wants me to do owner oc, stated income, stated assest.  It will be an invest property.  I am concerened about the ethics with this.  Should I be concerened

Scott

[tedjr]

You already know the answer. In the past it was done and we all thought it was OK if no one knew or if we turned on the lights in our name for a few months etc. Who would be hurt? It was fraud and still is. It is not murder or rape or theft but just fraud. You will have to pay a higher rate of interest and maybe a lower loan to value but that is better than even a day in jail or thousands in attorneys fees to keep out. You will sleep better at night too.

Good luck and thank you,
Ted P. Stokely Jr
11505 Sw Oaks
Austin, Texas  78737
512-301-9171 home
512-587-6177 mobile

[Beaner]

Thanks Ted,

what are the odds someone would come after you and who would be that someone?  Mortgage company?

What about receiving money after the close from a third party?

Also, when filling out the application for the stated income, could I add the rents I receive from my other rentals and what about my wife's income?

Thanks in advance,

by the way I see your from Austin, I live in Houston.

[tedjr]

FBI, FDIC, Federal Trade Commission to name a few of the big boys. I have given and received allowances for rehab etc.

Last time I used stated income they asked for a number and I said $6000 per month. They asked for bank statements and at the time I was depositing $20,000 per month into my personal account from rents, construction and other stuff. It may still be the same today as that was 3 years ago when I built our home and got the $260,000 loan. Hope this helps a little. Just be careful.

Good luck and thank you,
Ted P. Stokely Jr
11505 Sw Oaks
Austin, Texas  78737
512-301-9171 home
512-587-6177 mobile